**Finance Formulas** / July 23, 2018 / Iliana Williamson

read moreIf a corporation has issued only one type, or class, of stock it will be common stock. ("Preferred stock" is discussed later.) While "common" sounds rather ordinary, it is the...

**Finance Formulas** / July 27, 2018 / Aniyah Booth

read moreAccounting ratios, also known as financial ratios, are used to measure the efficiency and profitability of a company based on its financial reports. They provide a way of expressing the...

**Finance Formulas** / August 2, 2018 / Avalynn Orr

read moreEvery business has assets, or things that the company owns and uses in its business in order to make money. These assets can include not just tangible items like cash,...

**Finance Formulas** / August 4, 2018 / Alia Marquez

read moreFor example, an investor starts her own business with $100,000 and earns $120,000 in profits during the first year. Her accounting profit is $20,000. But that same year, she could...

**Finance Formulas** / August 5, 2018 / Avalynn Orr

read moreContribution margin is the sales price minus total variable costs, where variable costs might include materials, labor or overhead. For example, Company XYZ sells a product for $100 each. The...

**Finance Formulas** / August 5, 2018 / Briana Leonard

read moreBond valuation, in effect, is calculating the present value of a bondâ€™s expected future coupon payments. The theoretical fair value of a bond is calculated by discounting the present value...

*Finance Formulas* / August 4, 2018 / Aniyah Booth

read moreBond valuation is a technique for determining the theoretical fair value of a particular bond. Bond valuation includes calculating the present value of the bond's future interest payments, also known...

__Finance Formulas__ / August 4, 2018 / Alia Marquez

read moreContinuous compounding is the mathematical limit that compound interest can reach if it's calculated and reinvested into an account's balance over a theoretically infinite number of periods. While this is...

*Finance Formulas* / August 5, 2018 / Kenley Hopper

read moreMeanwhile, upset that he is only earning $40 per year, the original investor decides to sell, but to entice others to buy his bond instead of bonds directly from ABC...

__Finance Formulas__ / August 5, 2018 / Alia Marquez

read moreA depreciation rate is the percentage of a long-term investment that you use as an annual tax deductible expense during the period over which you claim it as a tax...

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